Politics

Merz’s victory opens new era of German uncertainty

23 Feb 2025

Election exit polls in Europe’s top economy saw the conservatives win 29% of the vote, but record results for the far-right AfD. CDU leader Friedrich Merz faces a messy coalition with the SPD. That may take months, at a time when both Germany and the EU need rapid decisions.

Corporate America is caught in a DEI ratchet

21 Feb 2025

From Citi to McDonald’s, companies are re-thinking diversity programs under hostile pressure from the Trump administration. The changes range from subtle tweaks through to scrapping targets, but the weaponization of vague legal threats pushes everyone in the same direction.

UK could lure US talent with a ‘non-Don’ regime

21 Feb 2025

Britain has upset expats by ditching ‘non-dom’ rules that allowed them to swerve tax on offshore wealth. It could replace them by luring healthcare experts and scientists alienated by President Donald Trump’s upheavals. An influx of talented US émigrés could help revive growth.

Imperialist ways flow from Oval Office to C-suites

20 Feb 2025

Money managers like BlackRock, which oversees some $12 trln, are grappling with SEC guidance that makes it trickier to pressure companies. It befits Donald Trump’s war on climate and diversity initiatives. The chilling effect will be broader, though, further boosting CEOs’ power.

German elections chart course for a lonely Europe

20 Feb 2025

Voters in the EU’s largest country are set to go to the polls as US leaders threaten to withdraw military support from the continent, economic malaise lingers, and the far-right AfD gains ground. In this Viewsroom podcast, Breakingviews columnists debate the electoral stakes.

White House plays with Social Security fire

19 Feb 2025

Cost-cutter-in-chief Elon Musk claimed to uncover massive fraud, citing 20 mln people over 100 years old in government files. Such histrionics and other clumsy administration meddling make it all too easy to fear that legit payments to seniors are a disaster waiting to happen.

Trump reciprocal tariffs are key test of EU unity

19 Feb 2025

The president’s threat to match foreigners’ US levies may mean he targets individual European Union member states. The EU’s common approach to trade complicates retaliation. If some countries in the bloc stop others from fighting back, it could ramp up internal strife.

Xi Jinping’s graft crackdown is fight without end

19 Feb 2025

The Chinese leader’s 12-year campaign has disciplined 6 mln officials and taken down powerful foes. It has also frightened bureaucrats into paralysis, adding to the malaise in the world’s second-largest economy. Yet Xi’s aim of stamping out corruption compels him to keep going.

Europe and Trump risk Russian sanctions showdown

17 Feb 2025

The US president’s wish for a quick truce in Ukraine could prompt him to lift the measures slapped on Russia by Washington since 2014. The EU and UK would be loath to follow suit, but that would leave them in a tight spot, notably if it helps Putin rebuild his military.

Ukraine peace talks are Europe’s moment of truth

17 Feb 2025

Since World War Two ended, the continent has resisted Russia by relying on its big brother in the United States. But now it faces pressure from Washington as well as from Moscow. Standing up to both while standing by Kyiv will depend on money, determination, and political unity.

Separation of powers is on trial in the US

14 Feb 2025

Federal judges have for now blocked White House bids to eliminate agencies and freeze $3 trln in funds, setting up a Supreme Court showdown. A bigger risk is that Donald Trump’s administration ignores adverse rulings, damaging government promises and the bedrock of open markets.

Ukraine ‘peace dividend’ will be paid by Europe

13 Feb 2025

President Donald Trump’s talks with Russian counterpart Vladimir Putin may end Moscow’s war. For the EU this won’t mean lower defence spending. The likely end of the US security blanket, and an emboldened Russia, will force Europeans to accelerate their military overhaul.

Ending US aid will heat up sovereign debt fights

13 Feb 2025

There’s a strong case for reforming the global foreign-assistance industry. But President Donald Trump’s approach is blunt and deadly. It may also trigger a crisis in low-income countries that are heavily dependent on aid before it provides Washington any extra leverage.

Sticky inflation is a quagmire for tariff plans

12 Feb 2025

A surprisingly high 3% annual rise in US prices threatens to halt interest rate cuts from the Federal Reserve, and that’s before new tariffs go into effect. Policymakers seem to see gutting spending as the preferred fix. Scrapping inflationary trade barriers is a better bet.

Global trade tantrum will yield diminished returns

11 Feb 2025

President Trump’s early pattern is to threaten trade sanctions then yank them back after winning concessions. But new 25% steel duties and reciprocal levies are trickier to nix. A face-off against the whole world makes achieving strategic goals harder, risking bigger ruptures.

The long haul to reviving Britain’s economy

11 Feb 2025

Productivity has slowed, real wages are stagnant, and investment has dried up. The new UK government also faces high debt and rising interest rates. In this episode of The Big View podcast, newly appointed minister Torsten Bell makes the case for radical but incremental change.

The end of the West may be nigh

10 Feb 2025

China’s rise had already put the world’s rich democracies on the defensive. Now Donald Trump is swinging a wrecking ball at the alliances, values and institutions that underpin Western power. While it may be possible to salvage something, the omens are not good.

Disappearing US data dims economic outlook

7 Feb 2025

Every industry relies on government facts and figures, some of which Donald Trump is purging. Heavy users generated $750 bln of revenue in 2022, growing their share of GDP by 50% in a decade. If official information is less available or trusted, expect more garbage in – and out.

US tariff posturing is dangerous game of chicken

6 Feb 2025

Donald Trump’s hastily enacted and retracted trade wars are ratcheting up global tensions as Europe, China and Latin American countries prepare to retaliate. In this Viewsroom podcast, Breakingviews columnists debate the motivation for trade wars and why there will be no winners.

Tesla and SpaceX are ideal trade war hostages

5 Feb 2025

If President Trump makes good on tariff threats, smaller nations can amplify any retaliation: target his allies. The $1.2 trln carmaker and $350 bln satellite firm’s sky-high valuations benefit from Elon Musk’s political ties. They aren’t pricing in risks to hefty overseas sales.